Cochin Shipyard share price jumps 9% on Rs 10,000 crore order from Indian Navy
The company declared a second interim dividend of Rs 4.00 per equity share for the financial year ended March 31, 2021.
February 23, 2021 / 02:17 PM IST
Cochin Shipyard share price jumped over 9 percent intraday on February 23 after the company was declared lowest bidder by the Indian Navy for construction of six missiles.
The stock was trading at Rs 386.30, up Rs 33.15, or 9.39 percent at 13:59 hours. It has touched an intraday high of Rs 393.70 and an intraday low of Rs 349.05.
The scrip also witnessed a spurt in volume by more than 10.16 times and was trading with volumes of 180,014 shares, compared to its five day average of 13,917 shares.
"We would like to inform that at the meeting held at the Ministry of Defence, New Delhi, Cochin Shipyard Limited has been declared as L1 in the tender floated by the Indian Navy for construction of six of Next Generation Missile Vessels (NGMV) and the estimated total order value is around Rs 10,000 crore," the company said in an exchange filing.
"The final announcement of the contract will be subject to the satisfactory completion of necessary formalities in this regard, which will be updated in due course," it added.
The company in a separate filing to the exchanges also informed that the Board of Directors of Cochin Shipyard Limited at their meeting held on February 12, 2021, has declared a second interim dividend of Rs 4.00 per equity share for the financial year ended March 31, 2021.
The state-run company posted a 32 percent rise in consolidated net profit at Rs 223.73 crore during the quarter ended December. It had posted a net profit of Rs 169.81 crore during the same quarter a year ago, the company said in a BSE filing.
Its total income during the quarter under review fell to Rs 763.43 crore from Rs 950.34 crore in the year-ago period. The company managed to reduce its total expenses to Rs 461.45 crore as compared to Rs 722.12 crore in the year-ago quarter.